What should I check about a cold-chain company’s food and pharmacy customers?

Start with a customer list sorted by type and revenue. Ask how long each has been a customer, what they ship and how often. Notice if a few accounts carry most of the income. Ask what would happen to the business if the biggest one left and how likely that is.

Then look at what each type expects. Ask food customers and pharmacy customers separately what records they request, how they handle a late or warm delivery, and who checks. Pharmacy customers may ask for tighter handling and fuller records than a grocery customer, so ask the seller to show you how the company meets each one, and ask your lawyer which obligations the contracts create.

Finally, talk to a few customers, with the seller’s agreement. Ask how reliable the service has been, what they would change and whether they have other carriers. Check how the company handles an audit request from a customer, and who answers it. Ask whether staff have training for the sensitive work, and whether that knowledge sits with one person.

Key takeaways

• Sort customers by type and revenue, and see how much rests on the largest few.
• Ask food and pharmacy customers separately what records and handling they expect.
• Ask how the company answers a customer audit request, and who answers it.
• Talk to a few customers, with the seller’s agreement, and ask about other carriers.